The Complete History Of JPMorgan's "Monstrous" Derivative Risks And Abuses - The Full Senate Report

Curious what according to Jamie Dimon is just a "tempest in a teapot", or, alternatively, why Mr. Dimon is richer than pretty much all of you, here is the full 307 page report that explains everything, including all the events that transpired at the JPM CIO office, all the trades that led up to the "monstrous" Whale portfolio, leading to an epic prop trade failure, coupled with countless lies and misrepresentations to regulators, to investors, to the public, and to politicians, many of which under oath. Oh yes, free Jamie Dimon!

Finally, we are happy that our small contribution to exposing the catastrophic JPM TBTF prop trading behavior made its way into the report, and specifically footnote 1442.

Interestingly this report paints 'the London Whale' in a pretty good light so far...could it be that the real puppet masters were elsewhere??

In calculating the $500 million “all-in” figure, Mr. Iksil repeatedly used the words “hit,” “lag,” and “loss” in connection with the three credit indices he was analyzing. Despite his analysis discussing hundreds of millions of dollars in cumulative losses, at the end of the day on March 19, the CIO reported internally an SCP daily loss of only $3 million

....then later...

Mr. Martin-Artajo: “Yeah, don’t understand your logic, mate. I just don’tunderstand. I’ve told Achilles. He told me that he didn’t want to show the loss until weknow what we are going to do tomorrow. But it doesn’t matter. I know that you have aproblem; you want to be at peace with yourself. It’s ok, Bruno, ok, it’s alright. I knowthat you are in a hard position here."

...

Finally, Mr. Iksil apologized to Mr. Martin-Artajo for creating more work for him with Ms. Drew, but also reaffirmed his belief that the CIO needed to get its marks closer to market value, stating: “we had to get closer to where the market is even if the market is wrong.”

Why, the bigger and longer gold and silver bull markets than even the most imaginative of us here can, or even could imagine (if we were much more imaginative than we are). Derivatives are just the means, and the big banks know it better than we do.

Since JPM is the FOUNDING bank for the Federal Reserve and THE LARGEST SHAREHOLER (allegedly), they can send representatives into your house, shoot your dogs and cats, rape your wife and daughter, steal your retirement, break your legs, taser your grandmother for shits and giggles and still get a TARP grant for $100 billion.

Of course why do all the violent stuff when they can order the Federal Government to do that for them and their Rockefeller ill gotten brethren in the Eurotrash globalist banking system can skim off your earnings by assisting to manipulate the allegedly "free markets" by changing the Matrix at will.

Do you really think these bought and paid for prostitutes are actually going to do anything? There is merely a show of "look look! We actually are really really serious about doinng something, honest we are!"

The nation is bankrupt. Basically it takes in about 14% of it's official debt per year in tax revenue, and has no way to expand the revenue, meanwhile the debt has increased on average at 9.4% a year since 1971.

16.7 * (1.094^4) = 23.9 trillion dollars for the national debt by the end of Obama's presidency.

The problem are not the sheep that may keep meager amounts in their individual accounts.

The problem are the corporations that have 401k feduciary accounts on behalf of their employees with JPM. Think of all that money under their control, without the indiividual account holder able to transfer those funds.

Still, the awareness that the sum of all financial transactions majorly forms the power structures of this world, is severely lacking. If this was otherwise, I'd have good hopes that the change of mind would eventually reach even into the decision making of industrial councils.

In the end, if this is not understood, even a violent solution might just lead to evildoer B taking the place of evildoer A, as the structual flaws will remain and again lead to the same concentration of power and wealth waiting to be taken hold of.

It's the same reason why it was a bad idea to bail out banks: the general public was deprived of a chance to truly readapt their view and thinking, so the acceleration into ruin continues. Since the government isn't interested in changing this path, the people need to do it themselves.

"Mr. Iksil later told the JPMorgan Chase Task Force investigation that he had not beenable to sell as much credit protection as he would have liked (which would have generated morecarry and profits to keep pace with the high yield rally). He said that two risk metrics – the“VaR” and “CS01” – prevented him from doing so."

hahahahaha!

Leveraging up to 100bn on Super Senior Tranche was not enuff, maybe the 400bn would do?!

This is like watching the first ten minutes of a movie and then telling your date exactly how it will end. And sure enough...

The bank’s initial claims that its risk managers and regulators were fully informed and engaged, and that the SCP was invested in long-term, risk-reducing hedges allowed by the Volcker Rule, were fictions irreconcilable with the bank’s obligation to provide material information to its investors in an accurate manner.

"So, yeah, see where it says here 'zerohedge.com', yeah, well, I went to the site and there's some pretty good stuff on there, not sure if a lot of it makes sense to me, but what was really weird was the comments... they were all just like 'Fuck You Bernanke' 'Fuck You Bernanke' 'Fuck You Bernanke' 'Fuck You Bernanke'..."

True, which allowed me to really impress the nuns with my extensive exegesis on "The Whiteness of the Whale" chapter, you know, all things at once pure and impure, innocent and ineffable, etc. Earned at least two extra candy bars for that. I now realize the entire novel was a cautionary tale against meaningless, self-aggrandizing pursuits of terrible, elusive beasts, just like my current (attempted) profession as a trader. Oh, well . . .

Detroiters pledge uprising during state takeover: ‘Make sure you are prepared and you will survive’

Councilman Kwame Kenyatta and a packed room of Detroiters warned today of an impending revolt against state intervention, urging residents to stock up on canned food and supplies.

“Even the Bloods in the hood fight for their territory,” Kenyatta said during a 20-minute monologue on the civil rights struggle at today’s city council meeting. “You are going to have to drag me out of here for me to leave.”

Kenyatta cited Frederick Douglass, a former slave who became an intellectual and civil rights icon, because of his position that black people must sacrifice their lives, if necessary, to win freedom and the right to vote. Many in the audience stood up and applauded.

One by one, Detroiters pledged to take to the streets once Gov. Rick Snyder appoints an emergency manager, which is expected Thursday or Friday. Others threatened to block the entrance of city hall.

“Save up and purchase food, canned goods and water because you are going to see a new civil rights movement,” pledged Marie Thornton, a former Detroit Public Schools Board member. “I won’t give up my right to vote. We are going to shut down freeways and we are going to disrupt the economic system.”

Added Valerie Glenn, a community activist: “Make sure you are prepared and you will survive.”

IMO, this reference is huge, as it speaks volumes on the credibility of a 'fringe blog' that deserves to be spread far and wide. Perhaps those MSM-watchers might take a look at a (this) blog site and realize there is some high quality out there, with ZH leading the financial pack.

We need to stop trying to make sense of this stuff, that is where they have us. We keep trying to conceive of justice, consequences, punishment. AIN'T GONNA HAPPEN.

There is nothing to figure out, they are all thieves with guns at our heads (trying to take our guns from us). They put a great deal of effort into distracting us because it is cheaper than killing us all.

A. This is exactly why there should be no corporate veil protecting criminal CEOs. CEOs must be personally liable for the actions of their company, and especially their own actions ... and THAT is why they get paid the big bucks. Now Dimon gets the big buck for being a sniveling parasite. Unfortunately he gets to buy favor and protection from the government with the money that his bank creates out of thin air. Seems wrong, no?

B. International banks have single handedly killed every free market. There are no free markets anymore. Big banks determine all stock an commodity prices. They even get to be bailed out on their sugar positions by the governments, when they have priced sugar above the market.

Wow, Bloomberg's shitty guests just basically said "Who cares! The stock markets are up, the bank stocks are up, people are making a big deal out of nothing, that happened along time ago." Bloomberg's starting to smell like Cramers fat sweat.

This is obvious graft and criminality and there IS no justice and I know why.

Many will see this as evidence of corruption at the highest levels and it is, but what does it mean? We have been seeing people and businesses (banks) for years now, publicly vilified by the press and our great leader, yet they persist and get even richer and more powerful. How can this be?

It is happening because they want it to happen. They want us disgusted and untrusting of anyone, especially those in power. One would think this to be insane, right? Deliberately induce people to not trust you or anything you touch?

Exactly.

Chaos, leading to fatigue, and ultimately surrender for anyone seeking to subscribe to the old rules of hard work, honesty and a moral code. They want us to give up. They already have their minions to follow and sycophantly adore them. We are the sand in their bearings. We are what emanates the screeching sounds as their horrible wheels go round. We must stop, be silenced for their machine to function properly. Those that contribute to our new daily records on Wall Street are providing the grease for their wheels and by the time all of the grease is gone, they will have delivered us to their destination.

The people that depend on these criminals will accept anything, believe anything and ultimately do anything to preserve what they know to be a lie. But in their mind, what choice do they have? For many of us we don't have a lot and granted we would like to keep it, but on reflection, to lose it all would not be losing a lot. These guys though, they have it all. They can never go back. They will and have sold their soul and will do the same with ours.

Yes, this is obvious graft and criminality and there IS no justice and I know why.

I'd like to hear the translator explaining to the politicians exactly what exactly is going on.

It's easy to tell lies and get away with it when no one has a fucking clue what you're doing let alone understand it. And now that it's been done...well you better just let me take care of it or ill sink everything.